Working Capital Management Question:
Download Questions PDF

What are the disadvantages of commercial papers?


Disadvantages of commercial papers:

1) It is available only to a few selected blue chip and profitable companies.

2) By issuing commercial paper, the credit available from the banks may get reduced.

3) Issue of commercial paper is very closely regulated by the RBI guidelines.

Download Working Capital Management Interview Questions And Answers PDF

Previous QuestionNext Question
What are the advantages of commercial papers?Tell me how is the amount of assistance that a bank can provide for your working capital calculated?